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Shortly after the Supreme Court decided Commissioner v.
Lundy, supra, Congress amended section 6512(b)(3). This
amendment essentially overturned Lundy, making the look-back
period in such cases 3 years. See sec. 6512(b)(3). However,
this amendment has no application to petitioner’s 1996 tax
liability because Congress made the amendment effective for
taxable years that ended after August 5, 1997.5 See Taxpayer
Relief Act of 1997, Pub. L. 105-34, sec. 1282(b), 111 Stat. 1038.
Petitioner is deemed to have paid his taxes withheld during
1996 on April 15, 1997. See sec. 6513(b)(1). The notice of
deficiency was mailed on February 26, 2001, before petitioner
filed his 1996 return. Based upon the undisputed facts in this
case, petitioner is not entitled to a refund of his overpaid 1996
income tax unless the running of the period of limitations in
section 6511 was suspended.
Section 6511(h)6 provides equitable relief for taxpayers
4(...continued)
a refund to the Lundys. The Supreme Court agreed with the
Commissioner and denied the Lundys’ refund claim holding that if
the taxpayer has not filed a return or refund claim by the time
the notice of deficiency is mailed, and the notice is mailed more
than 2 years after the date on which the taxes were paid, the
look-back period is 2 years and we lack jurisdiction to award a
refund.
5Even if the amendment were applicable, it would not benefit
petitioner since the deficiency notice was issued more than 3
years after the due date of the return.
6Sec. 6511(h) was added to the Code by the Internal Revenue
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